WATER AND SEWER COMMITTEE MEETING

City Hall, 601 Broad Street, Sam King Room

Thursday November 3, 2016

8:30 AM

PRESENT: Commissioner Craig McDaniel, Chairperson

Commissioner Milton Slack

Commissioner Sundai Stevenson

Mr. Sammy Rich, City Manager

Mr. Kirk Milam, P.E., Public Services Manager

Ms. Toni Rhinehart, Asst. Finance Department Director

Mr. Mike Hackett, Water & Sewer Division Director

Mr. Tim Brunson, Assistant Division Director

Mr. John Boyd, Assistant Division Director

Mr. Wayne Stanley, Water Treatment Facility Director

Mrs. Cathy Sims, Billing and Collections Director

VISITORS: Ms. Diane Wagner, Rome News Tribune

Ms. Kim Jarrett, WRGA

CALL TO ORDER

Chairperson McDaniel called the meeting to order.

REVIEW OF THE MINUTES

The minutes of the October 6, 2016 meeting were approved by common consent.

FINANCIAL REPORT

The financial report was given by Toni Rhinehart. She stated year to date water usage is up, but water sales show a slight decrease due to the decrease in Floyd County Wholesale usage. Connection fees are up as well as Debt Service coverage. Paying off debt during the past year has influenced the debt service coverage. Total debt coverage for 2016 is at 2.13 as opposed to 1.72 for this same time period in 2015. Three month operating reserve is at target number as well as capital reserve; however Mr. Milam commented it may be wise to consider moving towards a six month reserve in both operating and capital. Chairman McDaniel asked if the new filter replacement program was still on track. Mr. Hackett stated the amount was close to the amount that had been budgeted for the Etowah Vertical Turbine project that would not be constructed; however the funding is intended to be used for GAC filter replacement project.

OLD BUSINESS

a.  2017 Rate Study—Mr. Milam spoke briefly about taking upcoming proposals for the 2017 rate study and the need for rate studies regarding our sewer delivery system. Mr. Milam stated it was very unlikely that any rate increase would be pursued for the upcoming year even though the 2015 Rate Study recommendation advised a rate increase. Sammy Rich agreed given that last year involved both a rate increase and a millage rate increase. Chairman McDaniel asked the committee if there were any new large water/sewer users as prospective customers. Mr. Rich stated there were four or five in the works, one of which would be a very good prospect.

Mr. Milam also stated that the City of Rome will be meeting with Floyd County to start Wholesale rate negotiations.

b.  Watershed Topics -- Mr. Hackett gave a presentation to the committee beginning with a water service area map of the City water lines covering 40 square miles. City of Rome sewer service area covers 150 square miles. He briefly discussed the “water wars” and outlined the ACT Basin area and the ACF Basin area. Mr. Hackett discussed the Georgia Comprehensive State-wide Water Management project which manages resources for future use. He discussed the Regional Planning Councils—Coosa-North Georgia Water Planning Council and the Northwest Georgia Water Partnership. The city of Rome Water is a member of both. The Coosa-North GA Council addresses the water supply and the needs by each sector. The Northwest GA Water Partnership is concerned with utility connections; waste water assimilation and nutrient trading; local needs; and water quality and watershed assessments.

Mr. Boyd also stated that the EPD requests that we monitor and implement BMP or Best Management Practices as part of the watershed management.

NEW BUSINESS

None

PROJECTS UPDATE:

Although there was no formal projects update, during the financial section of this meeting, Chairman McDaniel asked if the new filter replacement program was still on track. Mr. Hackett stated the amount was close to the amount that had been budgeted for the Etowah Vertical Turbine project that would not be constructed; however the funding is intended to be used for GAC filter replacement project.

OTHER

None

ADJOURN

There being no further business, the meeting was adjourned.

Respectfully resubmitted

Mike Hackett, Director

Rome Water and Sewer Division

Water and Sewer Committee/ Commission Minutes, August 23, 2016 Page 3 of 3